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Investment in Real Estate (Tables)
 9 Months Ended
Sep. 30, 2017
Real Estate [Abstract]  
Summary of investment in real estate
The following table summarizes the Company’s investment in real estate, at cost as of:
 
September 30, 2017
 
December 31, 2016
Land
$
1,369,320

 
$
1,221,450

Building and improvements
4,526,416

 
4,217,232

Tenant improvements
389,284

 
361,108

Furniture and fixtures
8,217

 
4,264

Property under development
265,661

 
295,239

Investment in real estate, at cost(1)
$
6,558,898

 
$
6,099,293

_____________ 
(1)
Excludes balances related to properties that have been classified as held for sale.
Schedule of acquisitions competed during the period
The following table summarizes the information on the acquisitions completed during the nine months ended September 30, 2017:
Property
 
Submarket
 
Segment
 
Date of Acquisition
 
Square Feet (unaudited)
 
Purchase Price(1) (in millions)
Sunset Las Palmas Studios(2)
 
Hollywood
 
Media and Entertainment
 
5/1/2017
 
369,000

 
$
200.0

11601 Wilshire land(3)
 
West Los Angeles
 
Office
 
6/15/2017
 
N/A

 
50.0

6666 Santa Monica(4)
 
Hollywood
 
Media and Entertainment
 
6/29/2017
 
4,150

 
3.2

Total acquisitions
 
 
 
 
 
 
 
373,150

 
$
253.2

_____________ 
(1)
Represents purchase price before certain credits, prorations and closing costs.
(2)
The property consists of stages, production office and support space on 15 acres near Sunset Gower Studios and Sunset Bronson Studios. The purchase price above does not include equipment purchased by the Company for $2.8 million, which was transacted separately from the studio acquisition. In April 2017, the Company drew $150.0 million under the unsecured revolving credit facility to fund the acquisition.
(3)
On July 1, 2016 the Company purchased a partial interest in land held as a tenancy in common in conjunction with its acquisition of the 11601 Wilshire property. The land interest held as a tenancy in common was accounted for as an equity method investment. On June 15, 2017, the Company purchased the remaining interest, which was fair valued and allocated to land and building.
(4)
This parcel is adjacent to the Sunset Las Palmas Studios property.
Schedule of asset acquisition, purchase price allocation
The following table represents the Company’s final aggregate purchase price accounting, as of the respective acquisition dates, for each of the Company’s acquisitions completed in the nine months ended September 30, 2017:
 
Sunset Las Palmas Studios(1)
 
11601 Wilshire land
 
6666 Santa Monica
 
Total
Investment in real estate
$
202,723

 
$
50,034

 
$
3,091

 
$
255,848

Deferred leasing costs and in-place lease intangibles(2)
1,741

 
—

 
145

 
1,886

Total assets assumed
$
204,464

 
$
50,034

 
$
3,236

 
$
257,734

_____________ 
(1)
The purchase price allocation includes equipment purchased by the Company of $2.8 million.
(2)
Represents weighted-average amortization period of 1.21 years.
Schedule of dispositions
The Company’s portfolio consists of properties located throughout Northern and Southern California and the Pacific Northwest. The following table summarizes the Company’s portfolio as of September 30, 2017:
 
Number of Properties
 
Square Feet (unaudited)
Office properties:
 
 
 
Northern California(1)
29

 
9,600,289

Southern California(2)
16

 
2,817,509

Pacific Northwest(3)
8

 
1,496,620

Total Office properties
53

 
13,914,418

Media & Entertainment properties:
 
 
 
Southern California(2)
3

 
1,249,927

Total Media & Entertainment properties
3

 
1,249,927

Total(4)
56

 
15,164,345


_________________
(1)
Includes the Foster City, Milpitas, North San Jose, Palo Alto, Redwood Shores, San Francisco, San Mateo and Santa Clara submarkets.
(2)
Includes the Burbank, Downtown Los Angeles, Hollywood, Torrance and West Los Angeles submarkets.
(3)
Includes the Lynnwood, Pioneer Square and South Lake Union submarkets.
(4)
Includes redevelopment, development and held for sale office properties.
The following table summarizes the properties sold during the nine months ended September 30, 2017. These properties were non-strategic assets to the Company’s portfolio:
Property
 
Date of Disposition
 
Square Feet (unaudited)
 
Sales Price(1) 
(in millions)
222 Kearny Street
 
2/14/2017
 
148,797

 
$
51.8

3402 Pico Boulevard
 
3/21/2017
 
50,687

 
35.0

Total dispositions
 
 
 
199,484

 
$
86.8

_________________ 
(1)
Represents gross sales price before certain credits, prorations and closing costs.
Schedule of components of assets and liabilities associated with real estate held for sale
The following table summarizes the components of assets and liabilities associated with real estate held for sale as of:
 
 
September 30, 2017
 
December 31, 2016
ASSETS
 
 
 
 
Investment in real estate, net
 
$
302,992

 
$
371,422

Accounts receivable, net
 
11

 
357

Straight-line rent receivables, net
 
5,220

 
5,949

Deferred leasing costs and lease intangible assets, net
 
13,204

 
17,798

Prepaid expenses and other assets, net
 
10

 
959

Assets associated with real estate held for sale
 
$
321,437

 
$
396,485

 
 
 
 
 
LIABILITIES
 
 
 
 
Notes payable, net
 
$
214,818

 
$
214,687

Accounts payable and accrued liabilities
 
3,229

 
6,517

Lease intangible liabilities, net
 
5,316

 
6,588

Security deposits and prepaid rent
 
669

 
2,643

Liabilities associated with real estate held for sale
 
$
224,032

 
$
230,435